NYSE:CSLT

Stock Analysis Report

Executive Summary

Castlight Health, Inc. provides a software-as-a-service platform used for health benefits navigation for employees in the United States.


Snowflake Analysis

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

How has Castlight Health's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CSLT's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-1.6%

CSLT

7.3%

US Healthcare Services

7.2%

US Market


1 Year Return

-79.8%

CSLT

18.3%

US Healthcare Services

-10.4%

US Market

Return vs Industry: CSLT underperformed the US Healthcare Services industry which returned 14.1% over the past year.

Return vs Market: CSLT underperformed the US Market which returned -12.7% over the past year.


Shareholder returns

CSLTIndustryMarket
7 Day-1.6%7.3%7.2%
30 Day-16.4%-3.5%-12.6%
90 Day-43.0%-2.5%-19.4%
1 Year-79.8%-79.8%18.5%18.3%-8.5%-10.4%
3 Year-79.8%-79.8%63.1%62.4%15.8%8.3%
5 Year-90.2%-90.2%40.4%39.3%35.8%21.0%

Price Volatility Vs. Market

How volatile is Castlight Health's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Castlight Health undervalued compared to its fair value and its price relative to the market?

45.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CSLT ($0.73) is trading below our estimate of fair value ($1.37)

Significantly Below Fair Value: CSLT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CSLT is unprofitable, so we can't compare its PE Ratio to the Healthcare Services industry average.

PE vs Market: CSLT is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CSLT's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CSLT is good value based on its PB Ratio (0.6x) compared to the US Healthcare Services industry average (2.8x).


Next Steps

Future Growth

How is Castlight Health forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

12.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CSLT is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: CSLT is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: CSLT is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: CSLT's revenue (5.8% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: CSLT's revenue (5.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CSLT is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Castlight Health performed over the past 5 years?

19.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CSLT is currently unprofitable.

Growing Profit Margin: CSLT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CSLT is unprofitable, but has reduced losses over the past 5 years at a rate of 19.7% per year.

Accelerating Growth: Unable to compare CSLT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CSLT is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare Services industry (23.3%).


Return on Equity

High ROE: CSLT has a negative Return on Equity (-23.14%), as it is currently unprofitable.


Next Steps

Financial Health

How is Castlight Health's financial position?


Financial Position Analysis

Short Term Liabilities: CSLT's short term assets ($95.5M) exceed its short term liabilities ($54.9M).

Long Term Liabilities: CSLT's short term assets ($95.5M) exceed its long term liabilities ($15.0M).


Debt to Equity History and Analysis

Debt Level: CSLT's debt to equity ratio (1.9%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if CSLT's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: CSLT has a low level of unsold assets or inventory.

Debt Coverage by Assets: CSLT's debt is covered by short term assets (assets are 29.3x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: CSLT has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if CSLT has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Castlight Health's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CSLT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate CSLT's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CSLT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CSLT's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CSLT's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.7yrs

Average management tenure


CEO

Maeve O'Meara

0.67

Tenure

US$2,997,799

Compensation

Ms. Maeve O'Meara is the Chief Executive Officer and Director of Castlight Health, Inc. since July 2019. She served as an Executive Vice President of Product and Customer Experience at Castlight Health, In ...


CEO Compensation Analysis

Compensation vs Market: Maeve's total compensation ($USD3.00M) is above average for companies of similar size in the US market ($USD605.16K).

Compensation vs Earnings: Insufficient data to compare Maeve's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Bryan Roberts
Chairman of the Board & Co-Founder2.42yrsUS$212.50k0.073% $83.1k
Maeve O'Meara
CEO & Director0.67yrUS$3.00m0.33% $370.2k
Will Bondurant
Senior VP & CFO0.25yrno data0.085% $95.6k
Helen Kotchoubey
Executive VP & COO0.42yrno datano data
M P Chan
Chief Accounting Officer2.58yrsno data0.026% $29.4k
Gary Fuges
Head of Investor Relationsno datano datano data
Alex Shvartsman
Senior VP & General Counsel1.17yrsno datano data
Matt Moran
Senior Vice President of Corporate Development0.42yrno datano data
John McCracken
Chief Revenue Officer3.67yrsUS$3.09mno data
Keith Reynolds
Chief Commercial Officer0.17yrno datano data

0.7yrs

Average Tenure

46yo

Average Age

Experienced Management: CSLT's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Bryan Roberts
Chairman of the Board & Co-Founder2.42yrsUS$212.50k0.073% $83.1k
Maeve O'Meara
CEO & Director0.67yrUS$3.00m0.33% $370.2k
David Ebersman
Independent Director8.67yrsUS$180.00k0.068% $77.0k
David Singer
Independent Director9.67yrsUS$182.03k0.068% $77.0k
Kenny Van Zant
Independent Director3.58yrsUS$175.00k0.24% $276.2k
Michael Eberhard
Independent Director3.67yrsUS$185.35k0.070% $79.4k
Edward Park
Independent Director5.83yrsUS$196.85k0.093% $104.8k
Judith Verhave
Independent Director1.67yrsUS$232.30k0.0063% $7.1k
Seth Cohen
Director2.17yrsUS$382.08k0.13% $152.1k

3.6yrs

Average Tenure

51yo

Average Age

Experienced Board: CSLT's board of directors are considered experienced (3.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CSLT insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.4%.


Top Shareholders

Company Information

Castlight Health, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Castlight Health, Inc.
  • Ticker: CSLT
  • Exchange: NYSE
  • Founded: 2008
  • Industry: Health Care Technology
  • Sector: Healthcare
  • Market Cap: US$113.124m
  • Shares outstanding: 149.26m
  • Website: https://www.castlighthealth.com

Number of Employees


Location

  • Castlight Health, Inc.
  • 150 Spear Street
  • Suite 400
  • San Francisco
  • California
  • 94105
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CSLTNYSE (New York Stock Exchange)YesClass B Common StockUSUSDMar 2014
109DB (Deutsche Boerse AG)YesClass B Common StockDEEURMar 2014
109BRSE (Berne Stock Exchange)YesClass B Common StockCHCHFMar 2014

Biography

Castlight Health, Inc. provides a software-as-a-service platform used for health benefits navigation for employees in the United States. Its platform matches employees to the resources their employers make available to them; managing a condition; and assists them to manage their benefits. The company also offers implementation, user and customer support, and marketplace services. It serves customers in a range of industries, including education, manufacturing, retail, technology, and government. The company was formerly known as Ventana Health Services and changed its name to Castlight Health, Inc. in April 2010. Castlight Health, Inc. was founded in 2008 and is headquartered in San Francisco, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 01:43
End of Day Share Price2020/03/30 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.